EMCOR Group, Inc. (EME)

Price—Loading quote

AI: Overvalued

Price checkThe shares look expensive because today's price already assumes years of strong cash growth.

At 08:53 UTC, MarketWatch showed a thin premarket quote of $858.10; the last regular-session close was $836.29. Using $858.10 and 44.24 million shares gives a $38.0 billion equity value. The price is 26.3 times the midpoint of 2026 earnings guidance. Trailing free cash flow—cash left after running and investing in the business—was about $1.17 billion, a 3.1% yield. A model using a 9% return and 3% lasting growth requires roughly 11% yearly cash growth for ten years. That inference supports Overvalued.

Big pictureGrowth is exceptional, but recent cash conversion warns that construction demand remains uneven.

Revenue rose from $8.80 billion in 2020 to $16.99 billion in 2025, while operating profit expanded from $257 million to $1.71 billion. Second-quarter 2026 revenue grew 19.8%, nearly all from existing operations, and the operating margin reached 10.6%. Work contracted but not yet completed was $17.14 billion, up 43.9%, supporting near-term durability. However, first-half operating cash was only $290 million versus $709 million of profit because working capital absorbed $526 million. Annual cash generation remains strong, but project timing and customer spending make it cyclical.

Business strengthA cash-rich balance sheet and falling share count protect owners, despite aggressive dealmaking.

EMCOR held $924 million of cash at June 30, had no revolving-credit borrowings during the first half, and had $1.45 billion more current assets than current liabilities. Shares outstanding fell from 54.76 million in 2020 to 44.24 million, so buybacks have more than offset employee-share dilution. The company spent $586 million on repurchases in 2025 and $269 million in 2026’s first half while paying modest dividends. The catch is capital discipline: four electrical-contractor deals costing about $700 million will use cash and possibly the credit line, reducing that cushion.

What could change the storyContinued data-center wins could justify the premium, while cancellations or weaker pricing would expose it.

The bull case is the record $17.14 billion of work not yet completed, with strongest growth in network and communications, water, institutions, and healthcare. The bear case is that customers can delay or cancel many construction contracts, while skilled-labor shortages can hurt project profits. The current price becomes easier to defend if free cash flow grows near 11% annually and operating margins hold around management’s 9.5%–9.8% 2026 target. It weakens if order growth stalls or margins retreat toward 2023’s roughly 7.0%.

$858.10 price considered

AI: News

Record quarter lifts outlookRecord growth and a major forecast increase reset expectations, sending the shares sharply higher.

On July 30, 2026, EMCOR reported quarterly revenue of $5.15 billion, up 19.8%, and earnings of $9.06 per share, up 34.8%. It raised full-year revenue guidance to $20.0–$20.5 billion and earnings guidance to $32.00–$33.25 per share. Contracted work not yet completed reached $17.14 billion, up 43.9%. MT Newswires reported the shares more than 18% higher that day; the timing is consistent with investors reacting to the earnings and forecast increases, though timing alone cannot prove causation.

Electrical acquisitions expand reachFour electrical-contractor purchases expand EMCOR's reach, but they also consume much of its cash cushion.

In its July 30, 2026 quarterly filing, EMCOR disclosed that it had bought two electrical contractors in July and agreed to acquire two more, subject to closing conditions. The four transactions carry an aggregate upfront price of about $700 million and expand the electrical business across the Midwest, Southeast, and Texas. They could add capabilities and customers, but financing them with cash and possible credit-line borrowings reduces balance-sheet protection. No reliable source separated their market impact from the same-day earnings reaction.

Revenue

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Net income

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Free cash flow

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Total cash / debt

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009	2008
Revenue	$16.99B	$14.57B	$12.58B	$11.08B	$9.90B	$8.80B	$9.17B	$8.13B	$7.69B	$7.55B	$6.72B	$6.42B	$6.33B	$6.20B	$5.61B	$4.85B	$5.23B	$6.79B
Gross profit	$3.28B	$2.77B	$2.09B	$1.60B	$1.50B	$1.40B	$1.36B	$1.21B	$1.15B	$1.04B	$944.5M	$907.2M	$821.6M	$804.0M	$733.9M	$693.5M	$784.2M	$886.7M
Operating income	$1.71B	$1.34B	$875.8M	$564.9M	$530.8M	$256.8M	$460.9M	$403.1M	$328.9M	$306.9M	$287.1M	$289.9M	$240.3M	$260.3M	$210.8M	−$26.5M	$250.1M	$302.6M
EBITDAderived	$1.90B	$1.48B	$927.6M	$612.2M	$579.1M	$303.6M	$504.8M	$441.6M	$368.8M	$345.8M	$323.4M	$326.4M	$276.7M	$291.5M	$238.2M	−$1.0M	$295.9M	$351.1M
Net income	$1.27B	$1.01B	$633.0M	$406.1M	$383.5M	$132.9M	$325.1M	$283.5M	$227.2M	$181.9M	$172.3M	$168.7M	$123.8M	$146.6M	$130.8M	−$86.7M	$160.8M	$182.2M
Basic EPSper diluted share	$28.30	$21.61	$13.37	$8.13	$7.09	$2.41	$5.78	$4.88	$3.84	$3.00	$2.74	$2.54	$1.85	$2.20	$1.96	-$1.31	$2.44	$2.79
Diluted EPSper diluted share	$28.19	$21.52	$13.31	$8.10	$7.06	$2.40	$5.75	$4.85	$3.82	$2.97	$2.72	$2.52	$1.82	$2.16	$1.91	-$1.31	$2.38	$2.71

Review source filings at SEC.gov ↗

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys0$0.00 disclosed value

Sells (SEC code S)17$46.60M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 17, 2026Form 4	Lowe Carol PDirector	SellCommon Stock	950	$844.50	$802.3K	17.3K
May 11, 2026Form 4	Reid William PDirector	SellCommon Stock	2.0K	$925.78	$1.85M	10.1K
May 1, 2026Form 4	Altmeyer John WDirector	SellCommon Stock	2.5K	$895.00	$2.24M	33.6K
Apr 30, 2026Form 4	Lind Robert PeterVP and Controller	SellCommon Stock	675	$894.27	$603.6K	4.2K
Apr 30, 2026Form 4	Nalbandian Jason RSVP, CFO, Chief Acct. Officer	SellCommon Stock	800	$856.43	$685.1K	18.2K

Review ownership filings at SEC.gov ↗

EMCOR Group, Inc. (EME)

Financial charts

Financial statements

Insider buys & sells